6. The Acting Prime Minister said that on July 19th, 1952, a telegram was received from the Executive Secretary of the G.A.T.T. advising that Japan had signified its desire to accede to G.A.T.T. A Canadian reply was required within 30 days unless an extension of a further 30 days was requested. Under the procedures for dealing with applications between G.A.T.T. sessions, consideration of an application would be deferred until the next regular session of the Contracting Parties if three or more Contracting Parties so requested. It was understood that the United Kingdom and France had already requested such deferment. It seemed highly probable that before August 18th a third country would have made the same request. In that eventuality Canada would not have to make a formal reply.

The Interdepartmental Committee on External Trade Policy recommended that, in the light of the forthcoming negotiations between Canada and Japan, it would be inadvisable to give Japan the impression unnecessarily that Canada was obstructing its accession to G.A.T.T. The Committee accordingly recommended that no reply be sent before a late hour on August 18th and that if, by that time, three countries had requested deferment no reply be sent at all. If three countries had not registered that view by late on August 18th a Canadian reply should be sent to the effect that the Japanese application should be deferred until the next regular session.

An explanatory memorandum had been circulated.

(Memorandum, Chairman, Interdepartmental Committee on External Trade Policy, August 13, 1952 - - Cab. Doc. 238-52)^?

7. The Secretary of State for External Affairs agreed with the recommendations. From reports as to the position of various governments it seemed almost certain that there would be at least the minimum of three objections to use of the Intersessional procedure before August I 9th.

8. The Cabinet, after discussion, approved the recommendations of the Interdepartmental Committee on External Trade Policy concerning the attitude to be taken by Canada with regard to the Japanese application for accession to the General Agreement on Tariffs and Trade and agreed that:

(a) the Japanese application should be deferred until the next regular session of the Contracting Parties;

(b) if at least three other Contracting Parties had recorded that view by August 18th, and thereby secured the desired deferment of the application, no Canadian reply be made;

(c) if by a late hour on August 18th less than three other Contracting Parties had registered that view, a Canadian reply be sent to the Executive Secretary requesting deferment; and,

(d) no reply be given regarding Canada's willingness to participate in tariff negotiations with Japan, the matter to be left for discussion at the regular session of the Contracting Parties.

. . .